Management of the Lucern fund (buy/sell decision making) is now...

1. Management of the Lucern fund (buy/sell decision making) is now independent. Aaryn's directorship is now administrative (though still needs to be disclosed to the ASX as he is technically related).
2. The Lucerne fund had been invested for 6 years with huge position sizing and was on a 300% profit. External liquidity needs, investment duration, position-sizing, even staff turnover are huge factors in professional fund mandates that limit portfolio manager’s ability to hold extreme positions forever. There are myriad factors unrelated to company performance that can lead to an institution selling.
3. In this case, the fund is a Cayman vehicle, so there was also a considerable tax issue for the fund if over 10% ownership (it was the conversion some years ago that took ownership above the threshold).
4. Aaryn has recently left Lucerne to focus full-time on portfolio companies and CXZ is the priority with best potential over time (his personal view). Aaryn is not taking an executive salary as his upside will clearly be in the stock.

"I wouldn’t be working for free if I didn’t think there was meaningful upside in the stock over time."

T.E.P.